9 East 38th Street
New York, NY
Project summary
Partner: Juster Properties
New York, NY
Total SF: 62,000
Partner
Juster Properties
Property
- Office & Ground Floor Retail
- 101,000 SF (Original buildings)
- 62,000 SF (Retained office building)
Timing
February 2013 – Current
Opportunity
- Block through panhandle parcel with 22,000 SF of air rights
- Well-located near Bryant Park, Grand Central and Herald Square
- Office portion was undermanaged and in need of capital improvements
- 5,000 SF floor plates well suited for single floor TAMI tenants
- Pricing was 60% below replacement cost
Value Add / Execution
- Split parcel, walled off 38thSt. building and sold the north portion (14-16 E. 39thSt.) and air rights to a Hotel Developer (See 14 E. 39thSt. for more information)
- Executed a significant capital improvement plan including a new lobby, storefront, HVAC, entryway, elevators, bathrooms, and high-end pre-built program
- Achieved rents $10 per SF higher than previously executed deals
- Long term hold